16 Feb Reworked Net Metering Bill Passes Senate Committee

Solar panels behind Sheridan Elementary School. Sheridan Community Schools is one of the first completely solar powered districts in the state.

The Senate Utilities committee passed a bill that would overhaul an alternative energy practice known as “net metering” by a vote of 8-2 on Thursday.

Net metering currently allows people, businesses and schools with solar panels, or other alternate energy generation sources, to sell excess energy back to utilities at the retail rate. Originally, the bill, authored by Sen. Brandt Hershman (R-Buck Creek), would’ve allowed utilities to reimburse those people at the lower, wholesale rate.

Hershman says he’s not against net metering but, instead, wants to ensure people can continue taking advantage of it.

“Right now, you get a subsidy of over 300 percent,” Hershman says. “That’s unsustainable.”

The amended version of the bill would reduce that subsidy to the wholesale rate plus 25 percent, which at the current rate, adds less than one cent per watt.

Many alternative energy advocates opposed the bill. Jesse Kharbanda, executive director of the Hoosier Environmental Council, notes that the solar industry is growing, with 200,000 related jobs in the state.